In a surprising move, President Donald Trump has unilaterally announced that the United States will impose a 25% tariff on India. This important decision comes amidst ongoing preparations for a trade deal between the two nations. Trump himself made the announcement, stating that this policy will be implemented starting August 1.
For a considerable time, India and the United States have been engaged in talks concerning trade agreements. Donald Trump took to social media platform 'X' to share the significant update about the tariff imposition.
Source: aajtak
Highlights from Donald Trump's Remarks:
Donald Trump emphasized that while the United States considers India a friend, the trade between both countries has been relatively low in recent years due to India's exceptionally high tariffs, described as the highest globally. This has been a significant barrier, preventing America from enhancing its trade partnerships.
Furthermore, Trump expressed concerns regarding India’s continued procurement of military equipment from Russia, viewing it as an unfavorable move at a time when the world advocates for Russia to cease its actions in Ukraine. To address these concerns, America has opted to place a 25% tariff on India, effective from August 1.
It's noteworthy that for the financial quarter of April to June, India's exports to the USA jumped by 22.8%, reaching $25.51 billion, while imports increased by 11.68% to $12.86 billion.
'Trump to Reconsider Soon...'
Praveen Khandelwal, an MP from the BJP, commented, "The Indian government will certainly take necessary steps. Our government might engage in discussions with the US administration. This decision will inevitably lead to rising costs, and we need to study its impact on the market."
He further stated, "It is unfortunate that such tariffs have been imposed. I am hopeful that the Trump administration will soon realize the implications and retract this decision."
